The long-running merger of Australian gambling giants Tabcorp and Tatts is now expected to be completed before the end of the year.
According to official sources, the A$8bn transaction is just awaiting the final regulatory agreements and the shareholders’ vote, and is due to be finalised by November 2017.
Tabcorp Chairman and Non Executive Director Paula Dwyer said this week: “With substantially all pre-implementation regulatory approvals now in place, we look forward to continuing to work with Tatts to successfully complete the transaction and are expecting implementation to take place in November 2017.
“Together we will be well-placed to pursue more investment and innovation across all our businesses, including best-in-class digital products and experiences.”
Nearly a year ago, back in October 2016, the firms announced their intention to create a diversified entertainment group and ASX 50 company with a total enterprise value of A$11.3bn and a market capitalisation of A$8.6m.
After the merger, Tabcorp shareholders will end up with 42% of the combined group and Tatts about 58%. Together, the two companies, combining betting, lotteries, Keno and gaming services, would have a combined revenue of more than A$5bn.
Despite receiving the green light from the Australian Competition Tribunal, the Australian Competition and Consumer Commission (ACCC) applied to the Federal Court of Australia for judicial review of the tribunal’s authorisation.
A decision still has to be announced but Tabcorp says it’s confident that the tribunal’s authorisation will be upheld.